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'Fast track' to let firm operate

14th October 1999
Page 21
Page 21, 14th October 1999 — 'Fast track' to let firm operate
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Which of the following most accurately describes the problem?

North Western Deputy Traffic Commissioner Pat

ii rick Mulvenna promised to try to get a "phoenix" company's bid for interim authority processed within 48 hours so it could continue to operate.

Eco Skips, of Maryport, had applied for a new national licence for three vehicles as its previous licence had automatically lapsed when it failed to pay the annual licence fees in time. However, Paul Carless, for the company, told the DTC that it had gone into voluntary liquidation and that a new company, AFKGW, trading as Eco Skips, would be seeking a licence.

What that meant, said the DTC, was that the Eco Skips licence application automatically fell to the ground.

Carless said the people that ran Eco Skips took over the business when the company they worked for went into liquidation. Eco Skips ran into financial difficulty because the yard and equipment it was purchasing had been over valued. They were told that if the company was put into liquidation they would be able to purchase the yard and equipment for a third less. The dividend to creditors was likely to be 75p in the pound.

Seeking interim authority for AFKGW to start operating, Carless said the substantive licence application would be lodged that day. Eco Skips had interim authority to continue operating and he did not want the people concerned to be left with a newly structured company, with every penny piece they had been able to raise sunk into it, with vehicles they were unable to operate.

The Deputy Commissioner said he was uneasy about granting interim authority on a licence application he had not seen. However, it would be dealt with as quickly as possible once the application was submitted and he would try to get a decision by the end of the week.

Tags

People: Pat, Paul Carless
Locations: Maryport

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